Durrant Pate/Contributor

Future Energy Source Company Limited (FESCO) has gotten approval for its proposed newest location on Spanish Town Road in St Andrew, named “FESCO Oval”.

FESCO Oval will be a company-owned and operated service station, facilitating increased retail presence within the Kingston and St Andrew region. FESCO Oval, according to the Jamaican service station operator, intends to showcase the “creativity, forward-thinking, mindfulness, commitment to community and the immense potential” of the country with the management explaining that the service station will embody its tagline and motto, ‘Proudly Jamaican’. 

The development of the service station, which will be FESCO’s 24th location islandwide will take approximately 15 months to execute with the company anticipating its opening during the second quarter of 2025 (July – September 2025). Last month FESCO opened its 23rd service station, FESCO Hayes (DOCO). 

FESCO in growth mode

In its latest quarterly report to shareholders, the management says the company is in growth mode noting that “During the year ended March 2024, we have made significant investments that do not yet reflect in sales or profit but will spur the company’s future growth and profitability in the medium term. Further FESCO will continue to make investments in real assets and equipment to support expanding its service station businesses and network, its industrial client base, and LPG business.”

During the 2023/2024 fiscal year, FESCO established and distributed its LPG via its FESGAS brand, which includes two company-operated LPG filling plants, increasing its network footprint by three service stations, namely FESCO Kitson Town, FESCO May Pen and FESCO Port Maria. This is in addition to improving brand awareness while increasing the company’s advertising, depreciation and interest expenditures.

The growing fuel and energy company has expanded its marketing and advertising expenditure to create brand awareness for its “FESGAS” branded LPG products, among other initiatives. For the last fiscal year, which ended March 31, FESCO’s advertising expenditure was J$47.0 million, which is up 201.3 per cent or J$31.4 million for the year. 

Staff costs for the year of J$270.7 million, which is up J$155.1 million from J$115.7 million last year, reflects the expansion of staff complement (up from 68 to 131) and is consistent and reflective of FESCO’s expanded operations, operating locations and operating scope and remains relatively efficient.